Supply Chain Network Design Including the Cost of Quality krystel castillo villar supply chain network design including the cost of quality

Supply Chain Network Design Including the Cost of Quality

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The supply chain (SC) can be understood as the integration of all business entities that work together in order to ensure that the final client receives a product or service at the right time, in the right quality, and at low cost. To achieve this, it is necessary to coordinate all the business entities within a SC. This can be achieved through supply chain management (SCM). This book addresses one of the problems included in SCM which is supply chain network design (SCND). The design of a supply chain network aims at selecting the business entities that increase the overall performance of the SC. Cost of Quality (COQ) represents a powerful measurement system that translates the implications of poor quality into a monetary language. This work includes three main contributions: (1) the model internally computes the COQ for the whole SC considering the interdependencies among business entities; (2) the model can be used at a strategic planning level to design a logistic route that achieves a maximum profit while considering the quality level within a SC; and (3) solution methods based on metaheuristics are developed and computational experiments are performed.